Categories: Business Tips |
The U.S. Small Business Administration (SBA) is offering a new financial assistance loan expressly for existing small and start-up businesses in underserved areas through the Community Investment Corporation (http://ciclending.com/) in Connecticut.
This loan program offers financial and technical assistance to help small businesses adapt to changing business conditions in the COVID-19 environment and strengthen their ability to manage through potential future disruptions.
The technical assistance portion consists of fifteen hours (15) of required advising, which must be completed during the first six months of the loan term. It can include such topics as business planning, financial management strategies to build cash reserves and reduce expenses, operations management, and marketing and e-commerce, based on the business’ needs.
What Businesses Need to Know:
- Allowable Uses: Working capital, inventory, equipment, and real estate purchases
- Loan Amount: $50,000 to $250,000
- Loan Term:
- Minimum 5 years
- Maximum 10 years for working capital & equipment, 25 years for real estate
- 10% minimum downpayment
- Interest Rate: Maximum Prime + 6%
- Collateral Required: All loans shall be secured by available assets of the borrower and its principals to the extent necessary to protect the interests of the lender
- Have until September 27, 2020 to be approved, with a full disbursement of no later than October 1, 2020
The SBA will cover the payment of principal, interest, and other fees for the first six months.
Wondering if this loan is right for your business?
Please reach out to your CTSBDC business advisor to discuss program specifics as well as additional financing options.
To apply for the Community Advantage Recovery Loan: Contact the Community Investment Corporation at http://ciclending.com/contact-us/Go Back